SEOUL, March 25 (Reuters) – South Korea’s central bank chief on Monday said the bank may change its current cautious stance on monetary policy should “recovery sentiment” worsen significantly, signaling it could ease policies if needed.
“We can think about changing monetary policy course if deterioration of recovery sentiment intensifies,” Governor Lee Ju-yeol told lawmakers at a parliament session in Seoul.
The BOK on February held interest rate steady at current 1.75 percent, as expected, and indicated it would keep rates at current levels for the time being.
A majority of analysts see the central bank staying on hold throughout this year, as weakness in exports and the jobs market keep policymakers cautious. (Reporting by Cynthia Kim; Editing by Richard Borsuk)